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    Can Fantom (FTM) Retrace Back to Its Peak Values?

    After raising millions through various ICO rounds in 2018, Fantom’s main net went live by the end of 2019. Unlike most cryptocurrencies, FTM does not use a blockchain but relies on a DAG, and it is secured by a novel Proof of Stake consensus mechanism called Lachesis.

    This protocol enables FTM to process and complete 20,000 transactions per second. Fantom has around 60 validators, of which the Fantom Foundation runs a few. 

    For security, Fantom validators must stake a minimum of 500,000 FTM. Validators can earn over 15.6% per year depending upon their duration of staking, but it requires a seven-day unlock period. Another positive aspect of the Fantom ecosystem is its energy efficiency, and the entire Fantom network consumes less energy than an average American home. 

    Fantom’s native token, FTM, has been beaten hard by the fear in crypto markets. Fantom currently has a market capitalization of $671,707,346, with 80% of FTM tokens in active circulation, making this platform rank 63rd.

    Being considered an ETH competitor remains the only silver lining for the FTM ecosystem, and it even faces rejection by users for its highly centralized ecosystem. The negative movement in a very short time despite trading at an all-time high proves its correlation with Bitcoin price action. 

    Fantom price action is consolidative in nature with an uptrend possibility in the long run based on its fundamental strength. The 50 EMA of $0.36 could be the next target only if the positive element continues. Read our FTM price prediction to know if there is any possibility of an uptrend.

    The last two months of price action, specifically May to July, have been fairly consolidation in nature with no signs of a bullish outcome and a decrease in negative sentiments. Essentially this kind of price action indicates its correlation with Bitcoin since most altcoins are following a similar price trend.

    Fantom token at its peak touched a market value of $3.3 in January 2022 when the majority of tokens were on a negative track. However, owing to this correlation, it felt hard losing more than half of its value in just five months. 

    Since April’s first week, the FTM token has traded in the negative zone under the 20-day EMA and moved above this EMA only two weeks ago. Today, FTM is again attempting to overcome the 20 EMA curve, and with a positive breakout, it can move ahead toward the next target of 50 EMA.

    In the last two weeks, the RSI indicator has been pointing towards a stagnant sentiment while MACD continues to move towards the positive axis to showcase a fundamental strength in its price action. 

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